University one of few schools yet to settle in class-action lawsuit
When Notre Dame graduates take their diploma as they cross the commencement stage, they hold a piece of paper with a price tag: 344,180 dollars.
Notre Dame was included in a class-action lawsuit filed in January 2022. The plaintiffs, a group of university students, allege that Notre Dame and 16 other institutions, including Harvard, Vanderbilt, and Yale, have engaged in illegal price-fixing, favoring wealthy applicants in their admissions processes.
The class-action complaint document obtained by the Rover accuses the defendants of forming a cartel under the legal cover of Section 568 of the 1994 Improving America’s Schools Act. Under this act, schools receive a special exemption from anti-trust laws if they admit students without looking at financial need. According to the plaintiffs, at least nine members of the “568 Cartel,” including Notre Dame, considered the financial status of applicants to admit children of previous or potential donors, despite claiming to admit students on a “need-blind” basis.
Included in the evidence supporting this claim is a leaked email following the 2012 admissions cycle from Notre Dame’s then-Associate Vice President of Enrollment, Don Bishop. In the email, Bishop wrote, “Sure hope the wealthy next year raise a few more smart kids!”, according to Fortune.
The complaint document alleges that the cartel has allowed the universities to devise a “Consensus Methodology” by which admissions offices determine certain applicants’ abilities to pay for tuition. Through the collective use of this methodology, the plaintiffs claim that the group of universities has erased price competition and falsely inflated the price of tuition.
Since filing, 12 of the 17 accused parties have arranged settlements amounting to a combined 284 million dollars. Notre Dame remains one of five institutions that have yet to settle or legally proceed.
While it is not certain what Notre Dame’s next course of action will be, one Notre Dame Law student weighed in on the case in an interview with the Rover, saying, “Whenever someone does not settle a case, it generally means one of three things: that they genuinely think they will win the case, that they think they can get the other party to drop the case, or [that] they are waiting for a more favorable settlement agreement. It’s impossible to say what Notre Dame might be thinking.”
Lloyd Hitoshi Mayer, Professor of Law, further speculated on the logic behind Notre Dame’s delay. In an interview with the Rover, Mayer said, “There are lots of reasons why, without having inside information, a defendant might choose to not settle when other defendants settle. It could be that there are reasons unique to each of the various defendants that make settling more or less attractive to them, regardless of the merits of the case.”
Mayer continued, “Twelve of the universities have settled. It may be that they have money already set aside to pay whatever settlement they had to pay. It may be that their board or president is more amenable to settling cases rather than to fighting them.”
Mayer suggested that the decision to either settle or litigate depends on the school’s identity in addition to its policies. He said, “It may be that Notre Dame has a stronger policy about not settling these kinds of cases but rather litigating them.” Mayer continued, “It’s a risk tolerance kind of decision on what the culture of the place is.”
Court documents show that Notre Dame filed a motion for summary judgement on May 7, 2025. This filing serves as evidence to support that Notre Dame may not be ready to settle until a judge has ruled on the motion.
When asked about their opinions regarding the price of tuition, Notre Dame students had mixed reactions.
Anna Hale, a junior living in Breen-Phillips Hall, said, “The tuition price I pay to attend Notre Dame matches the experiences I have received as well as the atmosphere I live in.” She continued, “I am distraught, however, that given the tuition price, the dining experience is sub-par. There are few healthy, nutritious, and substantial food choices, which takes a toll on my mind and body.”
Some students spoke positively about Notre Dame’s financial aid. One student told the Rover, “Notre Dame is very generous with their financial aid packages, and even more so now with Fr. Bob’s new ‘Pathways to Notre Dame’ initiative.”
Many responses referenced the market and the importance of other universities in setting a standard for tuition prices.
One student told the Rover, “I really just want to know where the money is going. I suppose the market dictates the price to some degree, so there’s only so much Notre Dame can do.”
“The tuition is way too high. I believe that it is due mostly to the fact that other high prestige schools up their costs, so Notre Dame feels like it has to as well, to keep up their image and seem ‘sought-after,’ another student in Lyons Hall told the Rover. “In the end, this only ends up being an undue financial burden to the students and their families.”
Clare DiFranco is a junior studying accounting and Italian. She recently enrolled in a ceramics class which increases her ever-growing mug collection but unfortunately ruins many of her clothes. Email her at cdifranc@nd.edu if you would like a handmade mug or have an apron to lend.
Photo Credit: Image by the Irish Rover
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